Table of Contents

Overview

What is Technical Analysis?

John Murphy defines Technical Analysis as “the study of market action, primarily through the use of charts, for the purpose of forecasting future price trends.” Market action refers to price, volume, and open interest data. While analysis of this data can't make absolute predictions about the future, studying the past price movements on a chart can help technical analysts anticipate what is “likely” to happen to prices going forward.

Introductions to Investing

Why Analyze Securities? Examines the three types of market analysts, what they believe about financial markets and why, helping you understand the big picture when it comes to deciding the “best” way to invest

Technical Analysis Explains what Technical Analysis is, how it works, and the general steps one should take when using technical charts and indicators to analyze stocks. It concludes with a look at the strengths and weaknesses of using charts to make investment decisions

Fundamental Analysis Describes Fundamental Analysis and explains the general steps that a fundamental analyst takes when evaluating a stock. It also looks at the strengths and weaknesses of fundamental analysis

Intermarket Analysis Examines the relationships between four key Intermarket players: Stocks, Bonds, the Dollar, and Commodities. These relationships are then tied into the business cycle and sector rotation within the business cycle

Random Walk vs. Non-Random Walk Explains both the Random Walk Theory of financial markets and its counterpart, the Non-Random Walk Theory, and considers how these two competing concepts affect technical analysis

Technical Analysis 101 A short course in the basic tenets of the field, designed to provide newcomers with a working background of technical analysis

The Psychology of Investing

Irrational Exuberance and Behavioral Finance Describes the findings in Robert Shiller's book, Irrational Exuberance. The 12 precipitating factors of the 2000 stock market bubble are detailed as well as cultural and psychological factors influencing the decision-making process when investing in stocks

Cognitive Biases Introduces and explains eleven of the most powerful and common cognitive biases faced by both the average individual throughout daily life and investors in today's financial markets